How Much Does It Cost to Sell a House in 2026?

The total cost to sell a house in 2026 is roughly 9-10% of the sale price. On a $400,000 home, that means $36,000-$40,000 comes off the top before you pocket anything. On a $750,000 home, expect to part with $67,500-$75,000 in combined fees, taxes, and expenses.

These costs fall into six categories: real estate commissions, closing costs, pre-sale preparation, moving expenses, mortgage payoff, and taxes. Every seller pays some version of each. This guide breaks down every single line item with specific dollar amounts so you can calculate your true net proceeds before listing.

How Much Are Real Estate Commissions in 2026?

The national average total real estate commission in 2026 is approximately 5.4-5.5% of the sale price, according to data from NAR and Zillow research. That breaks down into two separate fees: the listing agent commission and the buyer agent commission.

Listing Agent Commission: 2.5-3%

The listing agent's commission compensates the agent (and their brokerage) for pricing, marketing, negotiating, and managing the transaction. On a $500,000 home at 2.75%, that's $13,750.

This is the fee most sellers target for savings. Traditional brokerages charge a percentage, but flat-fee alternatives now exist. Flat-fee real estate platforms like Ridley charge a fixed dollar amount ($999 for Essentials, $3,499 for Pro) instead of a percentage, which can save significantly on higher-value homes. Other flat-fee options include Houzeo and Clever, each with different service levels and pricing structures.

Buyer Agent Commission: 2-2.5%

Following the landmark 2024 NAR settlement, the way buyer agent commissions work has changed substantially. Sellers are no longer required to offer buyer agent compensation through the MLS. Buyers now sign representation agreements with their agents before touring homes, and commission terms are negotiated separately.

In practice, most sellers in 2026 still offer some buyer agent compensation to attract the broadest pool of buyers. The average buyer agent commission has drifted down to 2-2.5%, compared to the 2.5-3% that was standard before the settlement. On a $500,000 home, that's $10,000-$12,500.

You can choose to offer 0% to the buyer's agent. If you do, the buyer pays their own agent's fee, which may reduce your buyer pool or result in the buyer negotiating a lower purchase price to offset their cost. We walk through this tradeoff in the scenarios below.

How to Reduce Commission Costs

• Use a flat-fee listing service. Ridley Essentials replaces the 2.5-3% listing commission with a $999 flat fee. On a $500,000 home, that saves approximately $11,500-$14,000 on the listing side alone. Ridley's average seller saves $43,639 in total transaction costs.
• Negotiate the buyer agent commission. Offer 2% instead of 2.5%. On a $500,000 home, that's $2,500 in savings.
• Sell without a realtor (FSBO). This eliminates the listing commission entirely, but NAR data shows FSBO homes sell for a median of 23% less than agent-assisted homes. A detailed FSBO vs. agent comparison can help you decide if this tradeoff makes sense.
• Sell directly to a known buyer. If you already have a buyer (friend, family, neighbor), you can skip both commissions entirely and just pay closing costs.

What Closing Costs Do Sellers Pay?

Seller closing costs (excluding commissions) typically total 1-3% of the sale price, or $3,000-$15,000 on a $500,000 home. Here is every line item.

Title Insurance: $1,000-$3,000

In most states, the seller pays for the owner's title insurance policy, which protects the buyer against title defects. Rates vary by state and are often set by state regulation. On a $500,000 home, expect $1,500-$2,500 in most markets. Some states (like Iowa) have flat-rate state-run title guarantee programs that reduce this cost.

Escrow Fees: $500-$2,000

The escrow or settlement company charges for managing the closing process: holding funds, coordinating documents, and disbursing payments. In some markets, the buyer and seller split this 50/50. In others, one party pays in full based on local custom.

Recording Fees: $50-$250

Your county charges a small fee to record the deed transfer and any mortgage satisfaction documents. This is a fixed governmental fee, not negotiable.

Transfer Taxes (Vary Widely by State)

Transfer taxes are the most variable closing cost. Some states charge nothing; others take a meaningful percentage. Here are examples based on state and county transfer tax schedules:

For a detailed state-by-state breakdown, see our home selling costs by state guide.

Attorney Fees: $500-$1,500 (Where Required)

Some states (New York, Massachusetts, Connecticut, Georgia, and others) require a real estate attorney at closing. Even in states where it's not required, some sellers hire one for complex transactions. Fees typically range from $500 for a straightforward closing to $1,500 for more involved situations.

HOA Transfer Fees and Estoppel Letters: $150-$500

If your property is in an HOA, the association charges a transfer fee and may charge for an estoppel letter confirming your account is current. These fees are set by the HOA and are generally non-negotiable.

Prorated Property Taxes

You'll owe property taxes from the start of the current tax period through the closing date. If you've prepaid, you'll receive a credit. This isn't an additional cost, but it affects your net proceeds at closing.

What Pre-Sale Costs Should Sellers Budget For?

Pre-sale preparation costs average $7,000-$20,000 but vary dramatically based on home condition and local market expectations. Not all of these are required, but each has a measurable impact on sale price and days on market.

Repairs and Maintenance: $5,000-$15,000

The average seller spends $5,000-$15,000 on pre-sale repairs according to HomeAdvisor and Redfin estimates. Common items include:

• Interior paint ($2,000-$5,000 for a full repaint)
• Carpet cleaning or replacement ($1,000-$4,000)
• Minor kitchen and bath updates ($500-$5,000)
• Roof repairs ($300-$1,500 for minor fixes)
• HVAC servicing ($150-$400)
• Landscaping refresh ($500-$2,000)

Major issues like roof replacement ($8,000-$15,000), foundation work ($5,000-$30,000), or sewer line repair ($3,000-$7,000) are separate considerations. A pre-listing inspection can help you decide which repairs deliver the best return.

Pre-Listing Home Inspection: $300-$500

A pre-listing inspection costs $300-$500 and reveals issues before buyers discover them. This gives you time to fix problems or adjust pricing, and reduces the risk of deals falling through after the buyer's inspection.

Professional Photography: $200-$500

Homes with professional photos sell 32% faster according to Redfin. Basic photography packages start around $200. Packages including drone shots, twilight photos, and virtual tours run $400-$500. Many flat-fee services and traditional agents include photography in their fees.

Home Staging: $1,500-$5,000

Professional staging costs $1,500-$5,000 for an occupied home (consultation and supplemental furniture) or $2,000-$5,000+ per month for a vacant home (full furniture rental). NAR's 2024 Profile of Home Staging reports that 81% of buyers' agents said staging made it easier for buyers to visualize the property.

Virtual staging ($100-$300 per room) is a budget alternative that works well for online listings but doesn't help with in-person showings.

How to Reduce Pre-Sale Costs

• Focus on high-ROI repairs. Fresh paint, professional cleaning, and landscaping deliver the best return. Skip major renovations unless the market demands it.
• DIY what you can. Painting, decluttering, minor landscaping, and deep cleaning save thousands.
• Get a pre-listing inspection. It costs $300-$500 and helps you prioritize which repairs actually matter.
• Skip staging in hot markets. If homes in your area sell in under 10 days, the ROI on staging drops significantly.

How Much Does Moving Cost?

Moving costs are easy to underestimate. According to the U.S. Census Bureau and industry data from the American Moving and Storage Association:

• Local move (under 100 miles): $1,000-$2,500 for a 3-bedroom home. This covers movers, truck, and basic packing materials.
• Long-distance move (100+ miles): $3,000-$7,500 depending on distance and home size. Cross-country moves for larger homes can exceed $10,000.
• Storage: $100-$300/month if there's a gap between closing and moving into your next home.
• Temporary housing: Budget $2,000-$5,000 per month if you need short-term rental between homes.

What About Your Mortgage Payoff?

Your outstanding mortgage balance is paid off from the sale proceeds at closing. This isn't technically a "cost" of selling (it's debt you already owe), but it reduces your net proceeds.

Request a payoff statement from your lender, which includes:

• Remaining principal balance
• Accrued interest through the closing date
• Any prepayment penalty (see below)
• Recording fees for mortgage satisfaction

Prepayment Penalties: 0-2% of Balance

Most conventional mortgages originated after 2014 do not have prepayment penalties (the Dodd-Frank Act restricted them for qualified mortgages). However, some non-QM loans, jumbo loans, and older mortgages may carry a penalty of 1-2% of the remaining balance, typically only if you pay off within the first 3-5 years. Check your mortgage note or call your servicer.

What Are Seller Concessions and How Much Do They Cost?

Seller concessions averaged 1.5-2% of the sale price in 2025 according to Redfin data, and that range has held into 2026. Concessions are credits the seller gives to the buyer at closing, typically to cover the buyer's closing costs, buy down their mortgage rate, or fund repairs identified during inspection.

On a $500,000 home, 1.5-2% means $7,500-$10,000 in concessions. Whether you offer concessions depends on market conditions: in seller's markets, concessions are rare. In balanced or buyer's markets, they're a standard negotiation tool.

Conventional loans cap seller concessions at 3-6% of the sale price depending on the buyer's down payment. FHA loans cap them at 6%, and VA loans at 4%.

Will You Owe Capital Gains Tax on the Sale?

Most primary-residence sellers owe zero capital gains tax thanks to the Section 121 exclusion. If you've owned and lived in the home as your primary residence for at least 2 of the last 5 years, you can exclude up to:

• $250,000 in gains if filing single
• $500,000 in gains if married filing jointly

"Gains" means sale price minus your cost basis (purchase price + qualifying improvements + selling costs). If your gains exceed the exclusion, the excess is taxed at the long-term capital gains rate:

• 0% for taxable income up to $47,025 (single) / $94,050 (married) in 2026
• 15% for taxable income up to $518,900 (single) / $583,750 (married)
• 20% above those thresholds
• 3.8% Net Investment Income Tax may apply for high earners (AGI above $200K single / $250K married)

Investment properties, second homes, and homes owned less than 2 years do not qualify for the exclusion and are subject to capital gains tax on the full profit. Consult a tax professional for your specific situation.

Complete Cost Breakdown: What Does It Cost to Sell at Every Price Point?

The table below shows estimated total selling costs at four price points, assuming traditional 2.75% listing commission + 2.25% buyer agent commission, moderate pre-sale prep, and a local move. Transfer taxes use a $1,000 estimate (varies by state).

The percentage of sale price spent on selling costs decreases as home value increases, because several line items (photography, recording fees, moving) are relatively fixed regardless of price. This is also why flat-fee listing services provide disproportionately larger savings on higher-value homes.

Real-World Scenarios: How Much Will You Actually Take Home?

Numbers in a table are useful; numbers in context are actionable. Here are three fully worked examples showing every line item and the seller's net proceeds.

Scenario 1: $400K Home, Traditional Agent, Married, 5+ Years Ownership

Sarah and James are selling their 3-bedroom home in Charlotte, NC for $400,000. They bought it for $260,000 seven years ago and have a remaining mortgage balance of $195,000. They hire a traditional listing agent at 2.75% and offer 2.25% to the buyer's agent.

Sarah and James walk away with $166,275, which is 41.6% of their sale price. Total selling costs (excluding mortgage): $38,725, or 9.7% of the sale price.

Scenario 2: $650K Home, Ridley Essentials, No Buyer Agent Commission Offered

David is selling his townhome in Denver, CO for $650,000. He purchased it for $420,000 four years ago. His remaining mortgage is $340,000. He uses Ridley Essentials ($999 flat fee) and decides not to offer buyer agent commission, betting that Denver's strong market will attract unrepresented buyers or buyers who will pay their own agent.

David's total selling costs (excluding mortgage): $10,664, or just 1.6% of the sale price. Compare that to the 9-10% he'd pay with traditional commissions and concessions. By using a flat-fee service and not offering buyer agent commission, David saved approximately $39,000 compared to the traditional route.

The tradeoff: his home sat on market 12 days longer than neighborhood comps. For David, the savings were worth the extra wait.

Scenario 3: $900K Home, Ridley Pro, Buyer Agent Commission Offered

Maria is selling her 4-bedroom home in Scottsdale, AZ for $900,000. She bought it for $510,000 six years ago (single filer) and her mortgage balance is $380,000. She uses Ridley Pro ($3,499) and offers 2% to the buyer's agent to maximize exposure.

Maria's total selling costs (excluding mortgage and capital gains): $52,801, or 5.9% of sale price. With a traditional agent at 2.75%, her listing commission alone would have been $24,750 instead of $3,499. Ridley Pro saved Maria $21,251 on the listing commission compared to a traditional 2.75% agent.

Note that Maria owes capital gains tax because her gain ($390,000) exceeds the $250,000 single-filer exclusion. The $140,000 excess is taxed at 15%, costing $21,000. Had she been married filing jointly, the entire gain would have fallen under the $500,000 exclusion.

How Can You Reduce the Total Cost of Selling?

Commissions are the largest single cost and the most negotiable. Here's a prioritized list of cost reduction strategies:

1. Replace the percentage-based listing commission with a flat fee. This is the single highest-impact change. Ridley Essentials ($999) or Pro ($3,499) replaces the 2.5-3% listing fee. On a $500,000 home, Essentials saves approximately $12,750 compared to a 2.75% commission. Other flat-fee real estate options include Houzeo (listing-only MLS access) and Clever (discounted full-service agents).
2. Negotiate or eliminate the buyer agent commission. Offer 2% instead of 2.5%, or offer 0% and let buyers pay their own agent. This works best in seller's markets.
3. Minimize seller concessions. In competitive markets, you may not need to offer any. In slower markets, offering to buy down the buyer's rate (a 2-1 buydown) can be more cost-effective than a straight price reduction.
4. Do your own pre-sale prep. Paint, clean, landscape, and declutter yourself. Save $3,000-$8,000.
5. Shop closing cost providers. Get quotes from multiple title companies and escrow services. Fees vary 20-40% between providers.
6. Time your sale to avoid capital gains. If you're close to the 2-year ownership threshold, waiting a few months can save tens of thousands in taxes.
7. Move yourself. Renting a truck and hiring hourly helpers costs $300-$800 vs. $1,500-$2,500 for a full-service local move.

How Has the 2024 NAR Settlement Changed Selling Costs?

The 2024 National Association of Realtors settlement introduced two major changes that directly affect what sellers pay:

• Sellers no longer set the buyer agent commission in the MLS. Before the settlement, listing agents entered a buyer agent commission offer in the MLS as a condition of listing. Now, buyer compensation is negotiated separately. Sellers can offer 0%, a flat fee, or a percentage—entirely at their discretion.
• Buyers must sign representation agreements before touring homes. This makes buyer agent compensation more transparent and puts downward pressure on buyer-side commissions. NAR data shows buyer agent commissions have dropped from an average of 2.6% in 2023 to approximately 2-2.5% in 2026.

The net effect is that total commissions have dropped roughly 0.5-1 percentage point since the settlement, saving sellers $2,500-$5,000 on a $500,000 home. Combined with flat-fee listing services, it's now possible to sell a home for 2-3% in total commission costs versus the 5-6% that was standard just two years ago.

How Do Selling Costs Vary by City?

Selling costs vary significantly by location due to differences in transfer taxes, attorney requirements, title insurance rates, and local customs around who pays what. Here are city-specific guides for popular markets:

• Denver, CO — Low transfer tax (0.01%), no attorney required
• Boulder, CO — Transfer tax 0.01%, high home values increase commission savings potential
• Austin, TX — No state transfer tax, no attorney required
• Miami, FL — Transfer tax $0.70/$100 ($3,500 on $500K), no attorney required
• Los Angeles, CA — Transfer tax $1.10/$1,000, additional city tax in LA
• New York, NY — Transfer tax $4/$1,000, attorney required, mansion tax above $1M
• Atlanta, GA — Transfer tax $1/$1,000, attorney required
• Scottsdale, AZ — Flat $2 transfer tax, no attorney required
• Seattle, WA — Graduated transfer tax up to 3%, significantly increases closing costs
• Charlotte, NC — Transfer tax $1/$500, attorney usually required
• Nashville, TN — Transfer tax $0.37/$100
• Portland, OR — No state transfer tax, but Metro regional housing tax of 0.12% applies in Portland

Frequently Asked Questions

How much does it cost to sell a $500K house?

On a $500,000 home with traditional agents, total selling costs typically range from $45,000 to $52,000 (9-10.4% of the sale price). This includes approximately $27,000 in agent commissions (5.4%), $6,000-$10,000 in closing costs, $7,500-$15,000 in pre-sale prep and concessions, and $1,500 in moving costs. Using a flat-fee service can reduce total costs to $20,000-$30,000.

What are typical real estate commission rates in 2026?

The national average total commission in 2026 is approximately 5.4-5.5%, split between listing agent (2.5-3%) and buyer agent (2-2.5%). This is down from roughly 5.8% before the 2024 NAR settlement. Commission rates are negotiable and vary by market.

Can I avoid paying the buyer's agent commission?

Yes. Since the 2024 NAR settlement, sellers are no longer required to offer buyer agent compensation through the MLS. However, buyers may negotiate a lower purchase price to offset paying their own agent, and some agents may discourage clients from viewing homes that don't offer compensation. In strong seller's markets, this is less of a concern.

What closing costs do sellers pay?

Seller closing costs typically include title insurance ($1,000-$3,000), escrow fees ($500-$2,000), recording fees ($50-$250), transfer taxes (varies widely by state from $0 to 3%+), attorney fees ($500-$1,500 where required), and HOA transfer fees ($150-$500 if applicable). Excluding commissions, these total 1-3% of the sale price.

How much do pre-sale repairs and staging cost?

Pre-sale repairs average $5,000-$15,000 depending on home condition. Professional staging costs $1,500-$5,000, professional photography $200-$500, and a pre-listing inspection $300-$500. Virtual staging ($100-$300/room) is a budget alternative for online listings.

Do I have to pay capital gains tax when I sell my house?

If you've lived in the home as your primary residence for at least 2 of the last 5 years, you can exclude up to $250,000 in gains (single) or $500,000 (married filing jointly). Gains above the exclusion are taxed at 15-20% depending on your income. Investment properties and homes owned less than 2 years don't qualify for the exclusion.

What is the cheapest way to sell a house?

The cheapest option is FSBO (For Sale by Owner), which eliminates listing commissions entirely. However, NAR data shows FSBO homes sell for a median of 23% less than agent-assisted sales. Flat-fee platforms like Ridley ($999 Essentials) offer a middle ground: full MLS exposure at a fraction of the traditional commission. Houzeo and Clever are other options with different service models.

How much can I save with a flat-fee real estate service?

On a $500,000 home, Ridley Essentials ($999) saves roughly $11,500-$14,000 compared to a traditional 2.5-3% listing commission. On a $750,000 home, savings reach $17,750-$21,500. The savings increase proportionally with home value since the flat fee stays fixed while a percentage-based commission scales up. Ridley's average seller saves $43,639 in total transaction costs.

The Bottom Line

Selling a home in 2026 costs 9-10% of the sale price with traditional agents, but sellers now have more options than ever to reduce that number. The 2024 NAR settlement, flat-fee listing platforms, and increased commission transparency mean that total selling costs can be brought down to 3-5% for sellers willing to use non-traditional approaches.

The key is understanding every line item before you list. Know your mortgage payoff, estimate your closing costs using state-specific rates, get repair quotes, and decide your commission strategy upfront. Your net proceeds should never be a surprise.

Whether you choose a traditional agent, a flat-fee service like Ridley, or go the FSBO route, the numbers in this guide give you the baseline to make an informed decision.

Related Guides

• How to Sell a House Without a Realtor
• Flat-Fee Real Estate: How It Works and Who It's For
• FSBO vs. Agent: A Data-Driven Comparison
• Home Selling Costs by State